Planning: Late Maturity Stage

Characteristics
  • Competition: The competitive landscape has stabilized.  The only survivors remaining consist of a few market giants and several small niche firms.
  • Target Market: The market has very few first-time buyers and almost all companies focus on getting existing customers to remain loyal.
  • Product: There is a significant reduction in the introduction of new models. Any new models focus mostly on just a few minor performance enhancements and stylistic improvements.
  • Prices: Overall prices stabilize and may rise due to limited competition.
  • Promotion: Large competitors begin to cut back on expensive promotions designed to attract new customers and focus on reminder promotions to loyal customers.
  • Distribution: Overall, distribution has stabilized with few new distributors agreeing to handle product. For products sold at retail stores, there is a noticeable reduction in shelf space devoted to the product.
  • Profits: Companies see profits recover as demand stabilizes, prices rises, and marketing expenditure to support the product declines.
Brand Strategy

If companies have failed to extend the PLC in the early part of the Maturity stage, there is a low probability the product form will experience growth again. Instead, companies will continue to market the product, albeit with little effort other than making it available to customers who have been purchasing it for some time.

By the late part of the Maturity stage,  marketers that are still selling may no longer consider the product to be important for the future of the organization.  However, this does not mean the product no longer holds value. In fact, the product may be extremely valuable for the profit it continues to generate (a.k.a. cash cow), which is then used to fund new products. Consequently, some attention is still paid to the product but only to ensure that it is still available for those who want to purchase.

Extending the PLC
Decline Stage of the PLC